Risks in International Trade deriving from the Financial Crisis of Maritime Carrier: Case Study of Hanjin Shipping Co., Ltd.

Abstract

At the present time, the business of carriage of goods by sea is likely to be affected by the world economic crisis which considerably impacts the international trade. One of the obvious circumstances is the case of Hanjin Shipping Co., Ltd. which has always been classified as global leader in liner shipping industry. However, Hanjin Shipping Co., Ltd. has entered the bankruptcy process due to the continuous loss in business for a period of time. The case study clarified risks in the international trade especially on the loss of liability claims between private entrepreneurs involved in the contracts for international sale, carriage of goods by sea and marine insurance. By doing this, the study aims to present risks and legal problems of which should be taken into consideration so as to exercise greater diligence in business management.